Report Overview

The government-led digital transformation, rapid connectivity and infrastructure growth, and international partnerships and skills development are expected to drive Egypt Cloud Services Market during the forecast period between 2025 and 2031.

Egypt Cloud Services Market – Industry Trends & Forecast Report, 2031

Egypt Cloud Services Market size was estimated at USD 2.82 billion in 2024. During the forecast period between 2025 and 2031, Egypt Cloud Services Market size is projected to grow at a CAGR of 12.56% reaching a value of USD 6.45 billion by 2031. Prominent drivers of the market include growing government support for digital transformation under Egypt Vision 2030, increasing demand for secure and scalable IT infrastructure, and rapid adoption of artificial intelligence in cloud environments. The launch of Huawei Cloud’s public cloud region in Cairo marked a significant milestone, positioning Egypt as a cloud hub for North Africa. Huawei has committed to invest USD 300 million over five years to enhance its cloud ecosystem, train local talent, and support over 200 software partners. The integration of AI-backed services, such as Arabic large language models and intelligent data platforms, is also accelerating cloud adoption across key sectors like fintech, healthcare, education, and government services. Despite ongoing challenges in network infrastructure and data center readiness, Egypt’s cloud market is poised for strong growth, supported by global tech investments, startup participation, and increasing enterprise demand for flexible cloud solutions.

Cloud Services – Overview

Cloud services refer to the delivery of computing resources, such as servers, storage, databases, networking, software, and analytics, over the internet on a pay-as-you-go basis. These services allow individuals and businesses to access and manage data and applications remotely without the need for physical infrastructure. Cloud services offer scalability, flexibility, and cost-efficiency, making them ideal for modern digital operations.

Egypt Cloud Services Market

Growth Drivers

Government-led Digital Transformation

Government-led digital transformation is significantly boosting the growth of Egypt Cloud Services Market. Aligned with Egypt Vision 2030, the government has launched strategic initiatives to modernize public services, improve data management, and enhance national digital infrastructure. A major milestone includes the inauguration of the Government Data and Cloud Computing Center, a centralized AI-powered hub designed to securely manage citizens’ data and support digital services across ministries. This move reflects Egypt’s commitment to strengthening cybersecurity, streamlining governance, and ensuring service continuity. In addition, increased investments in smart infrastructure, digital literacy programs, and public-private partnerships are creating a robust foundation for widespread cloud adoption. These efforts, combined with rising demand for efficient, scalable digital solutions, are positioning Egypt as a regional leader in cloud services.

Challenges

Cost Barriers for Small Businesses

Cost barriers for small businesses restrain the growth of Egypt Cloud Services Market. Despite the benefits of cloud adoption, many small and medium-sized enterprises (SMEs) face challenges due to high initial costs, subscription fees, and the need for skilled IT personnel. Limited financial resources and concerns about hidden costs deter smaller firms from fully transitioning to cloud platforms. Additionally, the perceived complexity of implementation and maintenance further discourages adoption. Without targeted support, subsidies, or affordable service models tailored for SMEs, the cost factor continues to hinder broader market penetration and limits cloud service expansion across Egypt’s small business sector.

Impact of Escalating Geopolitical Tensions on Egypt Cloud Services Market

Escalating geopolitical tensions could significantly impact Egypt Cloud Services Market. Heightened regional instability may lead to disruptions in cross-border data flows, delayed infrastructure projects, and reduced foreign investments. These tensions can increase cybersecurity risks, prompt stricter data sovereignty regulations, and driving demand for local cloud solutions. Additionally, reliance on international cloud providers may be challenged due to sanctions, trade restrictions, or disrupted supply chains for critical hardware. As global cloud service providers reassess regional risks, Egypt Cloud Services Market may face slower technological integration and service rollouts. However, it could also encourage self-reliance and the strengthening of domestic cloud infrastructure and capabilities.Bottom of Form

Egypt Cloud Services Market

Segmental Coverage

Egypt Cloud Services Market – By Service Model

Based on service model, Egypt Cloud Services Market is divided into Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS) segments.

Egypt Cloud Services Market – By Deployment Mode

Egypt Cloud Services Market by deployment mode is divided into Public Cloud, Private Cloud, and Hybrid Cloud segments. The public cloud holds the highest share in Egypt Cloud Services Market by deployment mode. The dominance is driven by rapid digital transformation, increased adoption of connected devices, and growing automation among small and medium-sized enterprises. Public cloud solutions offer cost-effectiveness, scalability, and ease of access—making them ideal for businesses seeking agility without the burden of managing in-house infrastructure. Egypt has witnessed major developments in this space, particularly with Huawei launching the country’s first public cloud region in Cairo. This initiative not only strengthens Egypt’s position as a digital hub for Northern Africa but also supports national goals under Egypt Vision 2030 by accelerating innovation across sectors through AI, data platforms, and tailored large language models. Huawei’s investment of USD 300 million over five years aims to nurture local talent, empower startups, and enhance digital capabilities—further reinforcing the public cloud’s expanding role in Egypt’s digital economy.

Egypt Cloud Services Market – By Enterprise Size

On the basis of enterprise size, Egypt Cloud Services Market is split into Large Enterprises, and Small & Medium-sized Enterprises (SMEs) segments.

Egypt Cloud Services Market – By End User

Based on end user, Egypt Cloud Services Market is segmented into Government, BFSI, IT & ITeS, Healthcare, Education, Retail, Manufacturing, Energy & Utilities, and Media & Telecommunications.

Competitive Landscape

Major players operating in Egypt Cloud Services Market include Microsoft Corporation, Amazon Web Services (AWS), IBM Corporation, Google Cloud (Alphabet Inc.), Oracle Corporation, Huawei Technologies Co., Ltd., SAP SE, Dell Technologies Inc., Cisco Systems, Inc., Telecom Egypt, Raya Information Technology, Benya Group, Orange Egypt, Etisalat Misr, and Vodafone Egypt. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In October 2024 - Huawei partnered with Egypt’s Talaat Moustafa Group (TMG) to introduce AI-powered cloud services to the Egyptian market for the first time. Through this collaboration, TMG will utilize Huawei’s advanced cloud technologies to develop smart infrastructure, particularly in the Noor City project. The initiative, branded as "NOOR Cloud," aims to support urban innovation, enhance digital connectivity, and deliver scalable, real-time data solutions.

Scope of the Report

Service Model

• Infrastructure as a Service (IaaS)

• Platform as a Service (PaaS)

• Software as a Service (SaaS)

By Deployment Mode

• Public Cloud

• Private Cloud

• Hybrid Cloud

By Enterprise Size

• Large Enterprises

• Small & Medium-sized Enterprises (SMEs)

By End User

• Government

• BFSI (Banking, Financial Services, and Insurance)

• IT & ITeS

• Healthcare

• Education

• Retail

• Manufacturing

• Energy & Utilities

• Media & Telecommunications